22-0503_ORANGE COUNTY STRIPING SERVICE INC_Agenda Report_E8City of San Juan Capistrano
Agenda Report
TO: Honorable Mayor and Members of the City Council
FROM: Benjamin Siegel, City Manager
SUBMITTED BY: Thomas Toman, Public Works Director
PREPARED BY: Jill Thomas, Senior Management Analyst
DATE: May 3, 2022
SUBJECT: Resolution Waiving the Formal Request for Proposals (RFP) or
Request for Qualifications (RFQ) Process, and Approval of
Amendment No. 1 to the Maintenance Services Agreement for
Pavement Marking Maintenance Services (Orange County Striping
Service, Inc.)
RECOMMENDATION:
1.Adopt a resolution waiving the formal RFP/RFQ process; and,
2.Approve and authorize the City Manager to execute Amendment No. 1 to the
Maintenance Services Agreement with Orange County Striping Service, Inc. for
pavement marking maintenance services at current unit pricing for an additional one-
year term beginning July 1, 2022, and ending June 30, 2023.
EXECUTIVE SUMMARY:
The current agreement for pavement marking maintenance services with Orange County
Striping Services, Inc. (OCSS) expires on June 30, 2022 (Attachment 1). OCSS has
offered to continue providing services to the City for an additional one-year term with no
change to current pricing (Attachment 2). Staff is requesting an exception to the formal
Request for Proposal/Request for Qualification (RFP/RFQ) procurement process. To
approve this exception, the City Council would need to adopt the attached resolution
(Attachment 3) waiving the formal RFP/RFQ procurement process. It is also
recommended that the City Council authorize the City Manager to execute Amendment
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City Council Agenda Report
May 3, 2022
Page 2 of 3
No. 1 to the Maintenance Services Agreement (MSA) with OCCS for a term of one year
beginning July 1, 2022, and ending June 30, 2023 (Attachment 4). All other terms of the
MSA would remain in effect.
OCCS has provided exceptional service to the City for over 10 years. They have been
very responsive to City needs and provide quality work on a consistent basis. OCSS has
offered to enter into a contract amendment under the same terms and fees as the prior
year. Due to the current high rate of inflation and economic instability, a formal RFP/RFQ
process would likely result in higher fees and diminished services to execute projects in
a timely manner. Therefore, it is recommended that a contract amendment be approved
without a formal RFP/RFQ process under the exceptions provided for in Municipal Code
Section 3-4.306(e)(3), which allows for an exception where the process is deemed not to
be the most cost-effective approach.
FISCAL IMPACT:
The City expends approximately $85,000 annually for pavement marking maintenance.
There is sufficient funding in the proposed Fiscal Year 2022-2023 Operating Budget to
cover these operations. No increase in unit pricing would result from this action.
ENVIRONMENTAL IMPACT:
In accordance with the California Environmental Quality Act (CEQA), the recommended
actions are exempt from CEQA per Section 15061(b)(3), the general rule that the CEQA
applies only to projects which have the potential for causing a significant effect on the
environment. Where it can be seen with certainty that there is no possibility that the
activity in question may have a significant effect on the environment, the activity is not
subject to CEQA. Adopting a resolution waiving the formal RFP/RFQ process and
approving and authorizing the City Manager to execute an Amendment for a one-year
term extension for pavement marking maintenance services would not be an activity with
potential to cause significant effect on the environment and therefore is exempt from
CEQA.
PRIOR CITY COUNCIL REVIEW:
On September 5, 2017, the City Council authorized the City Manager to execute a
Maintenance Services Agreement with Orange County Striping Service, Inc. for pavement
marking maintenance services.
COMMISSION/COMMITTEE/BOARD REVIEW AND RECOMMENDATIONS:
This action does not require commission, committee, or board review.
City Council Agenda Report
May 3, 2022
Page 3 of 3
NOTIFICATION:
Orange County Striping Service, Inc.
ATTACHMENT(S):
Attachment 1: Maintenance Service Agreement – September 5, 2017
Attachment 2: Orange County Striping Service, Inc. – Extension Request Letter
Attachment 3: Proposed Resolution
Attachment 4: Proposed Amendment No. 1 MSA - Orange County Striping Service, Inc.
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ATTACHMENT 3, Page 1 of 2
RESOLUTION NO. 22-05-03-XX
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN JUAN
CAPISTRANO, CALIFORNIA, AUTHORIZING THE CITY MANAGER OR
HIS DESIGNEE TO WAIVE THE FORMAL REQUEST FOR
PROPOSAL/REQUEST FOR QUALIFICATION (RFP/RFQ) PROCESS AS
A NON-COST-EFFECTIVE APPROACH, AND AUTHORIZING STAFF TO
PROCEED WITH AN AMENDMENT TO THE EXISTING MAINTENANCE
SERVICES AGREEMENT WITH ORANGE COUNTY STRIPING SERVICE,
INC., FOR PAVMENT MARKING MAINTENANCE SERVICES.
WHEREAS, the City entered into a Maintenance Services
Agreement with Orange County Striping Service, Inc., for pavement marking maintenance
September 5, 2017 (“Agreement”); and
WHEREAS, the Agreement is presently set to expire on June 30, 2022, and
WHEREAS, the City wishes to extend the term of the Agreement to June 30, 2023,
and
WHEREAS, the maintenance of pavement markings in City streets and public
right-of way must occur to maintain the health and welfare of the public while reducing
risks associated with vehicular traffic and pedestrian mobility, and
WHEREAS, Section 3-4.304 of the San Juan Capistrano Municipal Code provides
that maintenance services contracts over $25,000 are subject to a formal RFP/RFQ bid
process; and
WHEREAS, Section 3-4.306(e)(3) of the San Juan Capistrano Municipal Code
provides an exception to the formal RFP/RFQ process where the process is deemed not
to be the most cost-effective approach; and
WHEREAS, undergoing a formal RFP/RFQ process for pavement marking
maintenance and services would not be the most cost-effective approach given the
current high rate of inflation economic instability; and
WHEREAS, Orange County Striping Service, Inc., is familiar with the City’s needs,
has indicated that it will hold existing pricing; has demonstrated its flexibility to meet the
City’s service requirements; has historically provided excellent service to the City; has an
understanding of the requirements of the Authority; and can immediately begin performing
services without any substantive ramp up time.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SAN JUAN
CAPISTRANO, CALIFORNIA, HEREBY RESOLVES, FINDS AND DETERMINES AS
FOLLOWS:
ATTACHMENT 3, Page 2 of 2
1. That the foregoing recitals are true and correct and incorporated herein by this
reference.
2. That undergoing a formal RFP/RFQ process at this time for pavement marking
maintenance services would not be the most cost-effective approach.
.
3. That Amendment No. 1 to the Agreement extending the term of the Agreement is
hereby approved.
4. That the City Manager or his designee is hereby authorized to execute Amendment
No. 1 to the Agreement.
PASSED, APPROVED, and ADOPTED is 3rd Day of May, 2022.
________________________
Derek Reeve, Mayor
____________________________
Maria Morris, City Clerk